OMV Pushes Forward with €600 Million Austrian Hydrogen Plant Post-Masdar Exit
OMV's Hydrogen Project Continues Despite Masdar's Withdrawal
Background and Partnership Changes
Sept 18 (Reuters) - Austrian oil and gas group OMV will continue its planned hydrogen project in Austria without its Abu Dhabi partner after state-owned renewable energy firm Masdar unexpectedly withdrew from the venture, OMV said on Friday.
The departure marks a reversal of a partnership announced in November last year. Masdar was expected to contribute an investment worth several hundred million euros.
Project Financing and Support
Investment Structure
OMV told Reuters the withdrawal would not affect the project itself, which is estimated to cost around €600 million ($689 million) and remains largely financed. The European Investment Bank has already committed a €450 million loan, while Austria has indicated it will provide public funding.
Reasons for Masdar's Exit
According to Salzburger Nachrichten, who first reported the news, OMV said Masdar's decision to withdraw was due to strategic changes in Abu Dhabi. OMV did not provide further details. Masdar was not immediately available for comment.
Project Details and Industry Impact
Hydrogen Plant Specifications
The 140-megawatt electrolysis plant, which is planned to be operational by the end of 2027 and will produce up to 23,000 tonnes of green hydrogen, is set to be the largest of its kind in Austria and one of the five largest in Europe.
OMV's Broader Ties with Abu Dhabi
Strategic Partnerships
OMV maintains close ties with Abu Dhabi. The state oil company ADNOC owns 24.9% stake in the Austrian energy company, and the two firms recently combined their chemicals businesses under Borouge International, creating the world's fourth-largest plastics producer.
($1 = 0.8709 euros)
(Reporting by Alexandra Schwarz-Goerlich in Vienna, additional reporting by Federico Maccioni; writing by Amir Orusov; editing by Linda Pasquini)
